The Table Below Shows the Payoff (Profit) Matrix of Firm

question 68

Multiple Choice

The table below shows the payoff (profit) matrix of Firm A and Firm B indicating the profit outcome that corresponds to each firm's pricing strategy (where $500 and $200 are the pricing strategies of two firms) .Table 12.2

-Refer to Table 12.2. If both firm A and firm B choose their dominant strategies then:

• A)firm A makes a profit of $40 and firm B makes a profit of $45.
• B)firm A makes a profit of $50 and firm B makes a profit of $45.
• C)firm A makes a profit of $50 and firm B makes a profit of $40.
• D)firm A makes a profit of $42 and firm B makes a profit of $40.
• E)firm A makes a profit of $40 and firm B makes a profit of $20.

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Definitions:

Corresponding Mood

A mood or emotional state that matches or is in harmony with a particular situation, environment, or context.

Happy Voice

An auditory signal characterized by a tone, pitch, and modulation that conveys feelings of happiness and positivity.

Normative Social Influence

The force exerted by peers that motivates us to alter our conduct to achieve their liking and acceptance.

Yawns

Involuntary actions that involve opening the mouth widely and inhaling deeply, often triggered by fatigue or boredom.